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Required information [The following information applies to the questions displayed below.) Raner, Harris & Chan is a consulting firm that specializes in information systems for

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Required information [The following information applies to the questions displayed below.) Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices-one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given 1001 Sales Variable expenses Contribution margin Traceable fixed expenses office segment margin Common fixed expenses not traceable to offices Net operating income 401 Total Company $ 450,000 100 225.000 508 225,000 501 126,000 288 99.000 220 63,000 148 $ 36,000 88 office Chicago Minneapol $ 150,000 1000 $ 300,000 45.000 300 180.000 608 105,000 708 120,000 78,000 528 48,000 168 $ 27,000 185 $ 72,000 240 2. By how much would the company's net operating income increase if Minneapolis Increased its sales by $75,000 per year? Assume no change in cost behavior patterns. Net operating income increase

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